Ending a duopoly, Sri Lanka will allow oil-producing countries like Saudi Arabia to import and sell fuel in order to alleviate the country’s economic crisis, its power and energy minister said on Tuesday.
Minister Kanchana Wijesekera
While Minister Kanchana Wijesekera was on his way to Qatar, and another minister was scheduled to arrive in Russia on Sunday for talks about energy deals, the cabinet made its decision at the last minute. Read More
Lanka’s foreign exchange reserves
Lanka’s foreign exchange reserves are at their lowest level since the country’s independence, according to the central bank, but analysts estimate a lower level of usable funds.
Bringing in food, medicine, and most critically, fuel, is becoming increasingly difficult for the island’s 22 million residents.
Statistics from the statistics department showed. Sri Lanka’s economy shrank by 1.6% from January to March. And analysts predict that rising inflation and political unrest could lead to a 5% decline in second-quarter growth. Learn More
Schools in urban areas
Schools in urban areas will be closed for two weeks starting Tuesday. And only essential services like health, and trains. And buses will be able to get fuel because supplies will only last a week or so based on regular demand.
Companies from oil-producing countries have been given cabinet approval to open up the fuel import and retail sales market, Wijesekera tweeted.
They will be chosen based on their ability to import fuel and run without the need for foreign exchange during their first few months of operation from the CBSL (central bank) and banks.
Ceylon Petroleum Corporation
Ceylon Petroleum Corporation (CPC) and Lanka IOC. A subsidiary of Indian Oil Corporation, controls about 80% of the fuel market in Sri Lanka. Bunkering companies registered with the government can now import jet fuel. According to a statement from the government.
Sri Lankan government
The Sri Lankan government says it needs about 1.2 million litres of so-called A1 jet fuel a day, but the CPC has been unable to meet the demand.
A strong relationship with Russia.
He arrived in Qatar late on Monday night. While Education Minister Susil Premajayanth is scheduled to arrive in Russia on July 3rd.
According to a ministry official, Wijesekera hopes to find a long-term fuel supplier in Qatar. Who is “willing to work with Sri Lanka’s foreign exchange and other challenges,” he said.
It was reported on Twitter that the Russian ambassador, Yuri Material, had met with the president of Sri Lanka. Russian oil was recently purchased by Sri Lanka for 90,000 tonnes
This meeting focused on expanding trade opportunities while also maintaining strong bilateral relations, according to Rajapaksa.
Schools were closed and most government. And private-sector workers were working from home on Tuesday, so traffic in Colombo’s central city was light.
However, public transportation was available, as were stores selling staples like groceries and household goods.
Government of Sri Lanka
For the upcoming months, the government of Sri Lanka has promised to farm 250,000 hectares (617,763 acres) of unused land owned by religious institutions such as temple. churches, and mosques.
Sri Lanka may soon run out of basic foods like rice. In part because of a reduction in production brought on by a ban on chemical fertilisers. That was lifted last year.According to Ranil Wickremesinghe, the Prime Minister. Sri Lanka requires $5 billion in imports, including fuel, fertiliser, and food, to keep the country running.
International Monetary Fund
But many people are impatiently lining up to get passports as they seek out new opportunities abroad. While the government negotiates a bailout with the International Monetary Fund.
Seven children were among 47 people detained by the navy late Monday as they attempted to illegally enter Australia from the west coast.
A total of 120 people have been detained in small boats in the last two weeks as they attempted to leave the country.